Positive gains in prices across the market, combined with a lift in yardings point to an increase in demand from buyers this week. Multiple saleyard reports from major selling centres mention additional buyers at the rail. Widespread rainfall across the lower two-thirds of the country continues to fill moisture profiles setting up for a strong spring. Wintery quality is also driving a premium for well-presented pens.
The Eastern States Young Cattle Indicator lifted 4% this
week from 603 c/kg to 625 c/kg. Yardings for the indicator increased by 8% to
13.9k head for the week. The top contributors of young cattle were Roma, Dalby
and Wagga, making up for 55% of the total indicator. Roma, with the largest
contribution, doubled that of Dalby in second place. Its saleyard report
according to the NLRS said all regular processors, feedlotters and
backgrounders were present and active.
In the West, young cattle moved in the opposite direction,
with the Western Young cattle indicator falling 4% in value with a 20% decrease
in yardings. Quality of the pens on offer was the driver according to the
reports, with quality becoming scarcer as winter continues.
Processor cows lifted 8% through the selling week to finish
at 264 c/kg matching its highest value for the year at the start of February.
Yardings for the week surged by 58% to a total of 10.7k head. Roma had the
largest contribution and the saleyard quoted “well-conditioned cows… attracting
very strong demand and reaching over the 300 c/kg mark”.
Dairy Cows had the largest gain in value for the week
lifting 17% to 225 c/kg. Volume for the indicator also lifted by 11% week on
week. This is the highest point the Dairy cow indicator has been in the last 12
months surpassing its former peak at the end of January.
Initial yarding data according to the NLRS shows a 6%
increase in yardings on the week prior, with total yardings for the week 52.7k.
This is 26% above the 5-year average for the same selling week and whilst this
is elevated it is trending down from volume seen in the first half of 2024,
where the yardings were on average sitting 42% higher than average.
Slaughter for the week prior fell by 2% compared with the
week before. Slaughter levels remain elevated above the medium-term average,
but if winter continues to see a tightening in supply from the paddock, competition
from processors may increase.
Next week
If yardings continue their gradual decline from the elevated levels seen at the start of the year and processing plants look to keep their levels of capacity, the prices should increase. Alternatively, producers looking to cash in on recent price increases may see supply increase and arrest the upward trend.
Easing supply had a role to play; however, heavier saleyard offerings and channel country rainfall have gotten the ball rolling on demand once again in
The cattle market softened slightly this week as yardings lifted by more than 20,000. This increase in throughput was also heightened by lesser cyclone-affected yardings
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Rains bring the gains
The Eastern States Young Cattle Indicator lifted 4% this week from 603 c/kg to 625 c/kg. Yardings for the indicator increased by 8% to 13.9k head for the week. The top contributors of young cattle were Roma, Dalby and Wagga, making up for 55% of the total indicator. Roma, with the largest contribution, doubled that of Dalby in second place. Its saleyard report according to the NLRS said all regular processors, feedlotters and backgrounders were present and active.
In the West, young cattle moved in the opposite direction, with the Western Young cattle indicator falling 4% in value with a 20% decrease in yardings. Quality of the pens on offer was the driver according to the reports, with quality becoming scarcer as winter continues.
Processor cows lifted 8% through the selling week to finish at 264 c/kg matching its highest value for the year at the start of February. Yardings for the week surged by 58% to a total of 10.7k head. Roma had the largest contribution and the saleyard quoted “well-conditioned cows… attracting very strong demand and reaching over the 300 c/kg mark”.
Dairy Cows had the largest gain in value for the week lifting 17% to 225 c/kg. Volume for the indicator also lifted by 11% week on week. This is the highest point the Dairy cow indicator has been in the last 12 months surpassing its former peak at the end of January.
Initial yarding data according to the NLRS shows a 6% increase in yardings on the week prior, with total yardings for the week 52.7k. This is 26% above the 5-year average for the same selling week and whilst this is elevated it is trending down from volume seen in the first half of 2024, where the yardings were on average sitting 42% higher than average.
Slaughter for the week prior fell by 2% compared with the week before. Slaughter levels remain elevated above the medium-term average, but if winter continues to see a tightening in supply from the paddock, competition from processors may increase.
Next week
If yardings continue their gradual decline from the elevated levels seen at the start of the year and processing plants look to keep their levels of capacity, the prices should increase. Alternatively, producers looking to cash in on recent price increases may see supply increase and arrest the upward trend.
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Click on graph to expand
Click on graph to expand
Data sources: MLA, BOM, Mecardo
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Independent analysis and outlook for wool, livestock and grain markets delivered to you as it’s published
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Our team of market analysts are recognised as leaders in Australian Ag market analysis, providing invaluable insights to help you navigate the ever-changing commodity landscape.
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We don’t just bring you the most up to date market insights. Find out more about Mecardo’s services including risk management advisory, modelling, benchmarking, research & consultancy.